In a surprising shift in the precious metals market, gold prices in Pakistan fell sharply, while silver surged to a historic high, marking a significant divergence in the country’s bullion trends.
According to the All Pakistan Sarafa Jewellers Association, the per tola price of gold dropped by Rs. 4,578, bringing it down to Rs. 420,600. Similarly, the price of 10 grams of gold decreased by Rs. 3,924, settling at Rs. 360,597.
On the international front, gold prices also witnessed a notable decline. The global gold rate fell by $44, reaching $3,995 per ounce. Analysts attribute this drop to strengthening global currencies and shifting investor confidence towards other commodities and financial assets.
However, while gold saw a downward trend, silver prices continued to climb, setting a new record high in the domestic market. In Pakistan, the price of silver per tola increased by Rs. 34, reaching Rs. 5,100, while the price of 10 grams of silver rose by Rs. 29.42, now valued at Rs. 4,372.42.
In the international bullion market, silver also showed resilience, trading at $50.13 per ounce, indicating strong global demand and limited supply.
Market experts suggest that the contrasting movement between gold and silver reflects changing investment patterns among traders and consumers. As gold prices have reached record highs in recent months, investors are now turning towards silver as a more affordable alternative for hedging against inflation and currency volatility.
Economists also highlight that the industrial demand for silver—used in electronics, solar panels, and electric vehicle production—has contributed significantly to its upward trajectory. With technological and renewable energy sectors expanding globally, silver’s value has strengthened both as an industrial metal and a store of value.
On the other hand, the decline in gold prices is being viewed as a temporary correction following months of steady increases. Dealers in local markets noted that lower purchasing power among consumers and a reduction in speculative buying have also led to a slowdown in gold demand.
Jewellers in Karachi and Lahore reported reduced footfall in gold markets, with most customers shifting their interest toward smaller ornaments or silver jewelry due to affordability concerns. “People are showing more interest in silver jewelry and coins now,” said one Karachi-based jeweller.
Financial analysts predict that if global inflation remains under control and interest rates stabilize, gold may continue to face mild pressure in the short term. However, long-term investors still view it as a reliable asset during economic uncertainty.
Silver’s continued climb, meanwhile, could signal a broader shift in investment preferences. Experts believe that as the industrial economy grows and global demand for renewable technologies increases, silver prices may sustain their strength in both local and international markets.
The bullion trade in Pakistan remains one of the key indicators of economic sentiment, often reflecting both local currency trends and global economic shifts. With the current fluctuations, traders are closely monitoring international markets to anticipate further movement in prices over the coming weeks.
